GVK Power & Infrastructure has signed a concession agreement to operate India's new international airport in Mumbai.

GVK, which spearheads the consortium that runs Mumbai's Chhatrapati Shivaji International Airport, has agreed a 30 year deal to operate Navi Mumbai International Airport.

The gateway, currently under construction on a 1,060 hectare site around 35km from Chhatrapati Shivaji International Airport, is expected to open by 2020.

The concession agreement has been signed between Navi Mumbai International Airport Pvt Ltd (NMIAL) – a special purpose vehicle set up for the project by GVK – and the City and Industrial Development Corporation of Maharashtra (CIDCO).

GVK, through subsidiary, Mumbai International Airport Pvt Ltd (MIAL), holds a controlling 74% stake in NMIAL while CIDCO has a 26% shareholding.

The initial concession period is 30 years, with the option for a 10 year extension.

Today's agreement was signed by MIAL's executive chairman, Dr GVK Reddy, and Bhushan Gagrani, vice chairman and managing director of CIDCO, in the presence of the chief minister of Maharashtra, Devendra Fadnavis.

GVK Reddy said: “We are delighted that GVK has the opportunity to yet again display it’s technical and managerial prowess in the airports sector after having created the award winning Mumbai airport.

"With the continued support of the Central government, the Maharashtra government, CIDCO and all our stakeholders, we are confident of creating and delivering the much needed second airport for the twin cities of Mumbai and Navi Mumbai.”

MIAL was declared the successful bidder for the Navi Mumbai International Airport project in February 2017 and had received a Letter of Award from CIDCO on 25th October, 2017.